The ArtsCenter in Carrboro is on the verge of bankruptcy after accruing $500, 000 in debt. Several employees, contractors, and creditors have not been paid for months. All staff has been laid off and the center may have to permanently close. The problems at the ArtsCenter are a result of weak leadership and management.

Similar to the ArtsCenter in Carrboro, the Durham Arts Council Inc. is arts organization which recently opened a new facility and is already facing deficits. The DAC projected operating costs were too low and revenue projections were too high. Reports suggest the DAC grew faster than its management systems could handle and there was a lack of planning and awareness by administrators and the board. The deficit has been slashed from $400, 000 to $35, 000 after cuts and fundraising.